CNG price reduced

CNG price reduced

JAKARTA (JP): State oil and gas company Pertamina has reduced
the retail price of compressed natural gas (CNG) by 18 percent to
Rp 450 (4.5 U.S. cents) per liter.

Soegianto, in a decree issued yesterday, said Pertamina would
have a profit margin of Rp 6.5 per liter based on the new price,
while CNG traders could have a profit margin of between Rp 165
and Rp 205 per liter.

CNG, considered an environmentally friendly fuel, is mostly
used by taxis.

Pertamina earlier increased the CNG price by 100 percent to Rp
550 per liter, following the government's decision to hike fuel
prices on May 5.

But the government lowered fuel prices last week following
public outcry.

Soegianto said the new price was expected to increase people's
interest in selling CNG. (jsk)